Combating coronavirus: Dubai reduces market fee for instant licence from Dh3,000 to Dh250
Another step to reduce the impact of coronavirus on the residents.
Dubai Economy has reduced the market fee for instant licences by over 90 per cent, from Dh3,000 to Dh250.
A press statement issued on Monday said the same fee will apply when the instant licence is renewed.
An instant licence includes four legal forms - Limited Liability Company, One Person LLC, Sole Proprietorship and Civil Company. Business owners can obtain online a general commercial licence, which includes general trade activity, in addition to activities that do not require external approvals and are permitted for both citizens and residents.
Furthermore, the licensee is given membership in Dubai Chamber instantly, an establishment card of the General Directorate of Residency & Foreigners Affairs (GDRFA) as well as three work permits for employees from the Ministry of Human Resources and Emiratisation (MoHRE) once the trade licence is issued.
The registration of 'Native' workers in the MoHRE is an added feature of the Instant Licence.
Jitendra Gianchandani, chairman of Jitendra Consulting Group, said more than 90 per cent reduction in an instant license fees is something unthinkable since it was already very reasonable.
"I am sure this will encourage many entrepreneurs to start new ventures to test the water before committing in such difficult times caused by Coronavirus outbreak. Dubai government has been very proactive measures in re-establishing the confidence among businesses by either waiving off the government fees or waiving the required process such as automatic renewal of the expired employee visas. Apart from that Dubai customs and Dewa has reduced charges making residents feel more comfortable in such uncertain global circumstances. In short, when business and confidence is low, any single penny saved is penny earned and hence welcome."
Nimish Goel, partner at WTS Dhurva Consultants, said the reduction in instant license fees and online application will give impetus for individuals and start-ups to commence its business venture in the region.
"The Dubai government has taken all possible measures in terms of reduction in fees, custom duty refund and deferment of taxes to support local businesses in the UAE. The measures taken will reduce cost of doing business, provide necessary liquidity and business continuity during these tough times," said Goel.
The instant licence service reduces human interaction through automated licensing procedures and easy access to a business licence. It guarantees that entrepreneurs can start their business activity immediately after the licence is secured, and then complete the remaining requirements of the licence, such as approvals from other relevant government entities.
Q1 instant licences
It said the Business Registration and Licensing (BRL) sector in Dubai Economy issued 550 instant licences during the first quarter of 2020. Around 73 per cent were for commercial category and 27 per cent for professionals.
The report showed that the number of instant licence owners during Q1 2020 reached 1,746, with men accounting for 88 per cent. The nationals of UK, South Africa, Saudi Arabia, Egypt, Jordan, India, Pakistan, China, Sudan and the Philippines were the top entrepreneurs who secured the most instant licences.
Arabtec posted a Dh774.5 million net loss in 2019, citing weaker... READ MORE
The steepest rise in the number of coronavirus cases should shake us... READ MORE
Researchers also claim that whey proteins in cow and goat milk may... READ MORE
More than 42,000 people have died from Covid-19 in Britain, the worst ... READ MORE
Through this fund, the UAE, the US International Development Finance... READ MORE
Between October 14 and 20, the rate of positive cases among those... READ MORE
This came as the RTA carried out 1,087 inspections in coordination... READ MORE
The UAE is committed to be one of the leading countries in supporting ... READ MORE